We experimentally investigate competition in innovation in a patent race scenario. Pairs of subjects compete as seller … firms on a duopoly market, engaging in risky search investments. Successful innovation is rewarded through temporary …

ensuing innovation race, firms interact through information spillovers resulting from the imperfect appropriability of … behavioural regularities of agents who are engaged in innovation activities. As a key element we test to what extend relative … economic performance exercises a stimulating effect on the implementation of innovation and imitation strategies. …